Southwest Gas Holdings, Inc. · NYSE:SWX
Southwest Gas — FY2025 Earnings Presentation
35 slides from Southwest Gas's earnings presentation, Feb 25, 2026
Slide 1: Full Year 2025 Results
EARNINGS CONFERENCE CALL Full Year 2025 Results FEBRUARY 25, 2026
Slide 2: Safe Harbor Statement
Safe Harbor Statement Forward-Looking Statements Unless context otherwise requires, in this presentation, references to “we”, “us” and “our” are to Southwest Gas Holdings, Inc. (NYSE: SWX) (“Southwest Gas Holdings” or the “Company” or “SWX”) together with its current consolidated subsidiaries, which
Slide 3: Non-GAAP Measures
Non-GAAP Measures This presentation contains financial measures that have not been calculated in accordance with accounting principles generally accepted in the U.S. (“GAAP”). These non-GAAP measures include (i) Southwest Gas Holdings adjusted earnings (loss) per share, (ii) Southwest Gas Holdings a
Slide 4: Speakers and Agenda
Speakers and Agenda PRESENTATION AGENDA Strategic and Business Update Regulatory and Economic Update Financial Update Guidance and Karen Haller Justin Brown Justin Forsberg Outlook PRESIDENT AND CEO SOUTHWEST PRESIDENT CFO AND TREASURER GAS HOLDINGS SOUTHWEST GAS CORPORATION SOUTHWEST GAS HOLDINGS
Slide 5: Key Messages
Key Messages A PURE PLAY FULLY REGULATED NATURAL GAS BUSINESS POSITIONED FOR GROWTH AND COMMITTED TO DELIVERING LONG-TERM VALUE • Safe, reliable, and affordable natural gas service anchored by a strong safety culture, pursuit of operational excellence, and commitment to continuous improvement 2025 K
Slide 6: SWX’s Strategic Priorities
SWX’s Strategic Priorities COMPLETED 2025 STRATEGIC PRIORITIES INITIATING 2026 STRATEGIC PRIORITIES 2025 Utility and Regulatory Strategy 2026 Utility and Regulatory Strategy AZ Rate Case Approval ✓ 1Q 2025 CA Rate Case Approval 1Q 2026 GBGTC Rate Case Approval ✓ 1Q 2025 AZ Rate Case Filing (requesti
Slide 7: Delivering Strong Results
Delivering Strong Results Completed the full separation of CTRI with four follow-on offerings and three concurrent private placements in 2025 that generated ~$1.35 billion net1 sales proceeds On September 22, 2025, S&P upgraded SWX and Southwest Gas credit ratings to BBB+ (previously BBB- and BBB re
Slide 8: Regulatory and Economic Update
Regulatory and Economic Update
Slide 9: Opportunities for Alternative Ratemaking in Nevada and Arizona
Opportunities for Alternative Ratemaking in Nevada and Arizona NV SB 417 Arizona and Nevada Anticipated Rate Case Roadmap In June of 2025, Governor Lombardo signed Senate Bill Potential 417 (“SB 417”), allowing Rates alternative alternative ratemaking plans File general effective – ratemaking in Nev
Slide 10: Anticipated AZ Rate Case
Anticipated AZ Rate Case Anticipated Arizona Rate Case Detail Southwest Gas expects to file its general rate case with the ACC in February 2026, with new rates anticipated to go in effect in April 2027. Expected SWG Proposal Equity Ratio 50.08% ROE 10.25% Fair Value Return on Rate Base 0.20% $3.9 bi
Slide 11: 5-Year SWG Capital Plan
5-Year SWG Capital Plan $6.3 billion five-year capital plan supports rate base growth through 2030 with 73% of investment expected at SWG and 27% expected at Great Basin 5-Year Capital Plan1,3 5-Year Rate Base Growth1 (in billions) (in billions) Southwest Gas 2028 GB Expansion Project Incremental Ra
Slide 12: 2028 Great Basin Expansion Project Overview
2028 Great Basin Expansion Project Overview Expansion Project Highlights: • Expansion and upsizing of current pipeline in or adjacent to current pipeline right of way • Expansion driven by growing demand in Northern Nevada • Executed binding precedent agreements in December 2025 Expected Project Sch
Slide 13: Financial Update
a Southwest Gas.. HOLDINGS Financial Update
Slide 14: 2025 SWX Adjusted EPS Walk
2025 SWX Adjusted EPS Walk CONTINUING OPERATIONS FINANCIAL HIGHLIGHTS ADJUSTED EARNINGS PER DILUTED SHARE • SWG benefited from rate relief and customer growth partially RELATED TO CONTINUING OPS1 offset by modestly higher O&M, higher D&A3, higher interest FAVORABLE UNFAVORABLE expense, and lower oth
Slide 15: 2025 SWG Adjusted Net Income
2025 SWG Adjusted Net Income Year-over-year net income key drivers include: NATURAL GAS DISTRIBUTION SEGMENT (parentheses indicate unfavorable net income drivers) Favorable impact Unfavorable impact Adjusted Net Income1 ($ in millions) Favorable Unfavorable Operating Margin • $95.2 million – Combine
Slide 16: 2026 Expected Sources & Uses
2026 Expected Sources & Uses PLAN HIGHLIGHTS & ASSUMPTIONS Sources & Uses Sources & Uses ($ in billions)1 ($ in billions)1 Available for • Significant beginning cash balance $1.7 $1.7 future investment (nearly $600 million), primarily a $0.1 result of remaining proceeds from $0.1 SWG Bond Retirement
Slide 17: Strong Credit Profile Enables Efficient and Flexible Financing of SWX’s Capital Plan
Strong Credit Profile Enables Efficient and Flexible Financing of SWX’s Capital Plan 2025 S&P Adjusted FFO / Debt1 Downgrade Threshold Positioned to achieve long-term S&P Adjusted FFO / Debt targets of >17% while maintaining a 19.7% 18.6% balanced 50/50 capital structure at SWG Preserving a >300 bas
Slide 18: Balance Sheet Strength
Balance Sheet Strength SWX and SWG are positioned to maintain an investment grade profile, targeting FFO/Debt >17% over time Net Debt1 ($ in billions) Credit Ratings and Outlook3 Total PGA2 Net Debt Moody’s Standard and Poor’s Fitch Cash Net Debt Debt Balance less PGA Ratings Outlook Ratings Outlook
Slide 19: Committed to Delivering Value Through Continuous Dividend Growth
Committed to Delivering Value Through Continuous Dividend Growth SWX ANNUAL DIVIDEND PER SHARE 4% • Southwest Gas Holdings has paid a dividend every year Increase $2.58 since 1956 $2.48 $2.48 $2.48 $2.48 $2.38 $2.28 • February 25, 2026: Southwest Gas Holdings Board of $2.18 $2.08 Directors announced
Slide 20: Guidance and Outlook
Guidance and : Outlook a Southwest Gas.. HOLDINGS
Slide 21: 2026 and Forward-Looking Financial Guidance
2026 and Forward-Looking Financial Guidance Initiating 2026 and long-term guidance metrics including assumptions for alternative rate making in AZ and NV, and the 2028 Great Basin Expansion Project 12.0% – 14.0% $6.3 Billion 5-Year Capital Plan 9.5% – 11.5% 5-year Adj. EPS CAGR1 (2026E – 2030E) 5-ye
Slide 22: Financial Guidance Drivers and Assumptions
Financial Guidance Drivers and Assumptions 2026 2027 2028 2029 2030 Net Income Drivers FERC Filing Potential AZ and NV CA Filing AZ and NV Filings Tracking Periods AZ & NV Formula Rate Adjustments Margin Assuming rate case outcomes in line with historical experience ~1.4% Annual Customer Growth O&M
Slide 23: Closing Remarks
Closing Remarks 100% regulated natural gas utility earnings growth driven by customer 1 growth and improving regulatory frameworks supporting timely recovery of prudent investments Enhanced earnings profile with clear growth visibility driven by ~7% core 2 utility rate base growth and ~$1.7 billion
Slide 24: Contact
Contact INVESTORS & ANALYSTS: Tyler Franek MANAGER, INVESTOR RELATIONS (702) 876-7263 tyler.franek@swgas.com MEDIA: Sean Corbett MANAGER, CORPORATE COMMUNICATIONS (702) 364-3310 sean.corbett@swgas.com
Slide 25: Appendices
Appendices A Southwest Gas. HOLDINGS
Slide 26: Summary of Gas Cost Balances and Recovery Mechanisms
Summary of Gas Cost Balances and Recovery Mechanisms PGA1 Balance and Recovery Mechanism Summary Sept. 20252 Dec. 20252 Gas Cost Rate Return of Nevada PGA Balance Receivable (Payable) Receivable (Payable) State Carrying Cost Rate Adjustment Balance Balance » Southwest Gas received approval, for rate
Slide 27: 2025 Regulatory Updates - Arizona
2025 Regulatory Updates - Arizona Arizona Rate Case Outcome On March 27, 2025, the ACC approved an increase in rates effective on approval. Southwest Gas and Rate Case Highlights Staff Stipulation1 ACC Final Decision » The $80.2M revenue increase represents 64% of the original request Target Equity
Slide 28: Last General Rate Case - Nevada
Last General Rate Case - Nevada Nevada Rate Case1 Outcome Summary Dollars in millions ~98% Proposed Revenue Increase2 Depreciation Expense $73.9 ($6.8) of request after depreciation Authorized $59 million Cost of Service Adjustment ($1.6) adjustment and before adjustments to revenue increase in Neva
Slide 29: Regulatory Update - California
Regulatory Update - California California Rate Case Filing Summary In September 2024, SWG filed a rate case1 requesting a revenue increase of ~$50 million, updated to ~$44 million as of February 2025. Southwest Gas Public Advocate’s Office As Settled Partial settlement in principle reached by partie
Slide 30: 2025 Regulatory Update - GBGTC
2025 Regulatory Update - GBGTC GBGTC Rate Case Outcome1 On March 3, 2025, FERC approved an increase in rates. Requested Approved Target Equity Ratio 56% 50% Return on Equity 13.05% 11.95%3 Pre-Tax Rate of 11.18% 9.76%4 Return Rate Base $206 million (~$99 million increase) $191 million (~$55 million
Slide 31: SWG Regulatory Update – Other Regulatory Activity
SWG Regulatory Update – Other Regulatory Activity Arizona Gas Cost Balancing Account (GCBA) Great Basin 2026 Expansion Project In response to lower purchased gas costs, Southwest Gas filed an application in Jan. 2025 to return an over-collected GCBA In April 2025, GBGTC filed an application with the
Slide 32: 4Q and FY 2025 Financial Results
4Q and FY 2025 Financial Results CONSOLIDATED Three Months Ended Twelve Months Ended Results of Consolidated Operations December 31, December 31, (in millions, except per share items) 2025 2024 2025 2024 Natural gas distribution income1 $ 105.7 $ 97.2 $ 300.3 $ 261.2 Corporate and administrative los
Slide 33: Summary of Operating Results
Summary of Operating Results NATURAL GAS DISTRIBUTION SEGMENT Three Months Ended Twelve Months Ended 1 Results of Natural Gas Distribution December 31, December 31, (in thousands of dollars) 2025 2024 2025 2024 Regulated operations revenues $ 480,735 $ 553,059 $ 1,942,480 $ 2,475,216 Net cost of gas
Slide 34: Non-GAAP Measures
Non-GAAP Measures Three months ended Twelve months ended December 31, December 31, Adjusted Net Income and Adjusted EPS from Continuing Operations 2025 2024 2025 2024 Net income from continuing operations $ 104,946 $ 86,837 $ 234,836 $ 220,979 State income tax apportionment associated with certain o
Slide 35: Non-GAAP Measures (continued)
Non-GAAP Measures (continued) SWX S&P FFO Calculation 2025 SWG S&P FFO Calculation 2025 Revenue $ 1,940.4 Revenue $ 1,942.5 Cost of Goods Sold (497.6) Net Cost of Gas Sold (497.6) Operating Expenses (544.1) Operations and Maintenance (537.6) General Taxes (94.1) Taxes Other than Income Taxes (94.1)
Southwest Gas Holdings — FY2025 Earnings Presentation on 6ix